It’s not that manufacturers are unaccustomed to dealing with price hikes or supply chain disruptions. The pandemic is an all-too-recent reminder of economic upheaval in an industry that’s been trying to reinvent itself locally for decades.
As this week’s cover story reports, it’s the monthslong uncertainty surrounding those tariff-induced costs and the shifting availability of raw materials that still have many local manufacturers scrambling.
“There’s really no way to protect yourselves against the tariffs as a business,” said Jacob Sanchez, who leads industry solutions and community development for igus Bearings Inc. in East Providence. In igus’ case, he said, that’s because the U.S. doesn’t have enough of a supply of aluminum and copper that the German robotics manufacturer depends on to help it avoid the tariff hikes.
Igus has instead added local jobs to help balance supply chain risks but acknowledges those costs will be passed on to customers.
For some smaller manufacturers, the challenges have become existential.
Trump administration tariffs have forced Ward’s Manufacturing LLC in Warren to overhaul how it does business. New markets, including interior design, have helped to grow revenue but not enough to offset rising costs.
A U.S. Supreme Court case could lead to billions of dollars in tariffs being refunded to U.S. importers. But Ward’s co-founder Kelly Ward wants an end to the trade wars, or at least more exemptions for key raw materials.
“[Expanded exemptions] would make an impact,” she said.